B.C. economic agency still a work in progress
Federal minister has `sense of urgency' for project, but `we need to do things right'
B.C. will get its own, focused, federal economic development agency to help bolster its post-pandemic economy, but when it will open its doors hasn't been finalized, the minister-in-charge, Mélanie Joly, said Friday.
Joly, federal minister of Economic Development, said she has a “sense of urgency” for the initiative and her staff is working hard on launching the project promised in Prime Minister Justin Trudeau's fall economic update, “but we need to do things right,” when government kicks in its post-pandemic economic stimulus.
The idea was to create a bigger footprint for federal economic-development efforts in B.C. separate from the 23-year-old western economic diversification agency, recognizing B.C.'S economy is so different from its Prairie neighbours.
Joly took part in a video-panel discussion with the Greater Vancouver Board of Trade on the future of B.C.'S economy, where she said she was in “listening mode” for what B.C. wants out of the new agency.
The federal government will roll out between $70 billion and $100 billion in stimulus spending over the next three years, Joly said, and “it is important for people in B.C. to know what are these opportunities (and) to have access to them.”
However, news from this week put a fine point on the immediate needs of businesses that are still in the grips of COVID-19.
The board of trade's own research found that less than onethird of members surveyed for its Region in Review report were optimistic about their immediate future because of the pandemic. And the Canadian Federation of Independent Business found that between six per cent and 18 per cent of B.C. businesses remain at risk of closing.
Joly said businesses still have access to pandemic-related assistance through the existing western economic diversification agency, which had handed out $106 million in Regional Relief and Recovery Fund loans to B.C. small businesses as of last fall.
“We've been able to protect 11,000 jobs in British Columbia (alone) through western economic diversification,” Joly said.
The loans, up to $60,000, are aimed at offering some assistance to businesses that fall through the cracks of other federal aid such as wage-subsidy and rent-assistance programs.
Still, board of trade CEO Bridgitte Anderson said almost 5,000 Metro Vancouver businesses have shut down since the pandemic began and others are still struggling.
“There's no doubt that shortterm government supports have played a crucial role in helping local business leaders to navigate this crisis,” Anderson said in an
email. “The sooner we start focusing on pursuing long-term opportunities that could be supported by this new entity the better, as it will help Greater Vancouver emerge from COVID-19 stronger.”
The panel of executives Joly consulted in the session argued B.C.'S burgeoning tech sector offers a strategic advantage for the new agency.
“When COVID hit, many industries were decimated,” said Sue Paish, CEO of the Digital Technology Supercluster initiative. “But it also created an opportunity” in the rapid growth of digitalization of business and government.
“We've been living this for the last two years and it's been accelerated
remarkably over the last 11 months,” said Paish, arguing that Joly's new agency needs to be a partner in initiatives that are already having success.
Still, Paish said natural-resource industries will continue to be cornerstones of B.C.'S economy, “because what we produce from our forestry and our mining sectors are going to be in high demand, even in a digital economy.”
Along with opportunities in tech, the initiative needs to keep a focus on infrastructure, said Tamara Vrooman, CEO of YVR, both in terms of digital and physical infrastructure.